Assume that you open a 100-share short position in Jiffy, Inc common stock at the bid-ask prices of $32.00 - $32.50. When you close your position, the bid-ask prices are $32.50 - $33.00. You pay a commission rate of 0.5%
The market interest rate is 5.0% and the short rebate rate is 3.0%. What is your additional gain or loss due to leasing the asset?
A) $64.00 loss
B) $160.00 loss
C) $96.00 gain
D) $0
A
You might also like to view...
According to D'Arcy Masius Benton & Bowles's psychographic study in Russia, "Russian Souls" theoretically prefer Russian products but look down on mass-produced goods of inferior quality
Indicate whether the statement is true or false
Which of the following bonds has the greatest interest rate price risk?
A. A 10-year, $1,000 face value, zero coupon bond. B. A 10-year, $1,000 face value, 10% coupon bond with annual interest payments. C. All 10-year bonds have the same price risk since they have the same maturity. D. A 10-year, $1,000 face value, 10% coupon bond with semiannual interest payments.
Which category would a flexible and externally focused company be called on the competing values framework? Describe and give an example of this type of company.
What will be an ideal response?
Bharrat Corporation purchased 49% of Ferris Corporation for $109,000 on January 1. On October 17 of the same year, Ferris Corporation declared total cash dividends of $21,000. At year-end, Ferris Corporation reported net income of $69,000. The balance in the Bharrat Corporation's Long-Term Investment-Ferris account at December 31 should be:
A. $109,000. B. $142,810. C. $132,520. D. $98,710. E. $85,480.